- While the growth of model portfolios continues to receive much hype despite the true size of the market remaining opaque, BNY’s introduction of the BNY PortfolioFlex Portfolios highlights the need for providers to strike the right balance in order to achieve broad adoption.
- As broker/dealers encourage advisors to use either internal or third-party models to improve practice efficiencies, it is critical to understand what advisors value most:
- Ability to customize portfolios
- Influence over investment execution to strengthen their value proposition
- Today, 76% of advisors construct their own model portfolios, highlighting a strong desire for customization and control. Providers that deliver on these capabilities are more likely to achieve long-term success.
